Should BA purchase NIKI from airberlin?
May 13, 2014, 9:23 am
#31
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Conchita Airways?
That must be the wurst idea
Dec 28, 2017, 10:22 am
#33
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Looks like IAG is the only remaining bidder for NIKI. Glad the idea I had 3 years ago is becoming reality. Should I recommend myself for a top job in IAG in M&A activities?
Dec 28, 2017, 10:58 am
#34
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My armchair opinion:
- Nonstop longhaul flights are where the money is being made by EU legacy airlines.
- LHR & MAD have large markets, with connections being the cream on top. VIE is a much smaller market.
- For connections, LHR is a great hub for North America, and MAD for South America. VIE could only be to Asia, but with big competition from EK etc.
- Intra EU flights have massive lowcost point to point competition, that hubs don't make sense (and will lose money).
I don't think BA would be able to add anything to Niki (and if anything would burden them with more costs)- hence would continue to lose money if purchased by BA.
However, I do agree Niki are a good little airline.
- Nonstop longhaul flights are where the money is being made by EU legacy airlines.
- LHR & MAD have large markets, with connections being the cream on top. VIE is a much smaller market.
- For connections, LHR is a great hub for North America, and MAD for South America. VIE could only be to Asia, but with big competition from EK etc.
- Intra EU flights have massive lowcost point to point competition, that hubs don't make sense (and will lose money).
I don't think BA would be able to add anything to Niki (and if anything would burden them with more costs)- hence would continue to lose money if purchased by BA.
However, I do agree Niki are a good little airline.
Dec 28, 2017, 11:03 am
#35
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Agree that CE and Germany is a hole in OW, but suspect that IAG is not intending fill it with Nikki purchase.
They can though poision LH's cash cow if you will excuse the mixed metaphors.
Dec 29, 2017, 12:35 am
#36
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For whatever reason IAG still's negotiating, they are the only bidder left, after TUI, Thomas Cook and company founder Niki Lauda all have jumped ship.
Not knowing what tricks big conglomerates may play on their competition, but IMHO news looks like more than just aiming at LH. A price tag at 40 M € and the fact that
looks more than play.
But my play spending is of course in an other division.
Not knowing what tricks big conglomerates may play on their competition, but IMHO news looks like more than just aiming at LH. A price tag at 40 M € and the fact that
The new owner will have to pay Niki’s running costs, including salaries for its roughly 1,000 employees in Austria and Germany, from the beginning of January
But my play spending is of course in an other division.
Dec 29, 2017, 1:19 am
#37
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Surely a merger with Vueling would occur ?
Dec 29, 2017, 1:23 am
#38
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Not necessarily. Vueling is a disliked brand and its success is limited to Southern European cities. Niki in another hand is a boutique carrier that has loyal followers. My guess is that Niki will be renamed or become a subsidiary of either BA or IB thus assume parent company's oneworld membership without any cost. This trick can be done as Niki is not a 'national carrier' like Aer Lingus (imagine the fury at Irish parliament if IAG simply make EI a subsidiary of BA or IB in order to join oneworld without the hefty individual membership cost).
Dec 29, 2017, 1:28 am
#39
Join Date: Nov 2010
Posts: 5,596
I would agree.But IAG is only getting the slots and staff in reality, the aircraft are gone. So with all the new LGW slots and the Niki slots IAG are going to need to source some aircraft rather quickly.They have some help from their old friends at Titan who are going to be doing some LGW work for BA.Titan have just recruited a bunch of Monarch crews who were laid off in the collapse of Monarch,but IAG need to find more aircraft than that.
I'm sure WW has a master plan up his sleeve.Interesting times ahead.
I'm sure WW has a master plan up his sleeve.Interesting times ahead.
Dec 29, 2017, 2:03 am
#40
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Dec 29, 2017, 2:30 am
#42
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I would agree.But IAG is only getting the slots and staff in reality, the aircraft are gone. So with all the new LGW slots and the Niki slots IAG are going to need to source some aircraft rather quickly.They have some help from their old friends at Titan who are going to be doing some LGW work for BA.Titan have just recruited a bunch of Monarch crews who were laid off in the collapse of Monarch,but IAG need to find more aircraft than that.
I'm sure WW has a master plan up his sleeve.Interesting times ahead.
I'm sure WW has a master plan up his sleeve.Interesting times ahead.
Dec 29, 2017, 4:17 am
#43
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Titian have 4 A320 family aircraft, 1 737 and a couple of others, add that to the 9 QR aircraft BA can wet lease and with Nikki and the ex Monarch slots at LGW I wonder how IAG can use all the slots in the short term. I assume most if not all the slots will be on a use it or loose it contract. It may be the case that IAG will have to lease out some of the slots for a while.
Dec 29, 2017, 4:59 am
#44
Join Date: Nov 2010
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Titian have 4 A320 family aircraft, 1 737 and a couple of others, add that to the 9 QR aircraft BA can wet lease and with Nikki and the ex Monarch slots at LGW I wonder how IAG can use all the slots in the short term. I assume most if not all the slots will be on a use it or loose it contract. It may be the case that IAG will have to lease out some of the slots for a while.
Dec 29, 2017, 6:47 am
#45
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This thread has been closed so that the discussion of Niki and IAG can be contained in one place. Please continue to follow this topic in the IAG, British Airways & Niki thread.
Prospero
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Prospero
Moderator: BA forum